Category: Stock Market

The Age Pension is a fortnightly sum paid to Australians aged 67 years or older to help them fund a basic retirement.

The catch is, not everyone over 67 years old is eligible. And the payment amount you could get is heavily dependent on your income and the value of assets you own.

Here’s everything you need to know about the Age Pension income test, the asset test, and how much you could get.

The maximum Age Pension payment

The Age Pension has a maximum total fortnightly payment of $1,200.90 for retired singles and $1,810.40 for couples combined. 

These sums include the maximum basic rate, the maximum pension supplement, and the energy supplement.

How is my final payment level calculated?

Centrelink assesses you under both an income and an asset test. It then applies whichever gives you the lowest rate of payment for your individual circumstances.

What is the Age Pension income test?

The income test assesses all of your income, pooled from all sources.

Your income includes your wages, but also includes anything from superannuation contributions, investment income, bonuses, or commission payments. 

It’s also applicable regardless of your age. 

In order to receive the full Age Pension single Australians can earn up to $226 per fortnight. Meanwhile, couples can earn up to $396 per fortnight.

But the good news is that if you’re over these thresholds, you could still be eligible for some sort of part payment. 

Single Australians can earn up to $2,627.80 per fortnight. Then and couples (living together) can earn up to $4,016.80 per fortnight and still qualify for at least a part-Age Pension, which is assessed on a sliding scale.

For a single person, your Age Pension will reduce by 50 cents for each dollar over $226. For couples it will reduce by 25 cents for each dollar over $396.

It means that the more you earn, the lower your Age Pension payment will be, until it reaches zero.

What about the Age Pension asset test?

The asset test includes everything you own, whether it’s in full, in part, or you have an interest in. It does exclude your primary residence. 

In order to receive the full Age Pension, single homeowners cannot own assets valued at $333,000 or more. For non-homeowners, this will be up to $600,000.

Meanwhile, a couple (combined) can own up to $499,000 in value if they own a property, or $766,000 if they don’t.

Again, as with the income test, if you’re over these thresholds, it’s still possible to get some sort of partial payment.

Single Australians who are homeowners can own assets valued up to $733,500, and single non-homeowners can own assets valued up to $1,000,500, and still be eligible for some level of part-payment.

Couples are also entitled to a partial payment, provided their combined assets don’t exceed $1,102,500 for homeowners. Non-homeowners can own assets totalling no more than $1,369,500.

The post Australian Age Pension: Income test, assets test and payment amounts explained appeared first on The Motley Fool Australia.

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Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

ASX small caps can offer strong growth prospects to an investor’s portfolio. 

With global headwinds impacting the ASX 200 this year, it could be an ideal time to allocate capital towards high upside stocks. 

The team at Bell Potter have identified two in particular that fit this criteria. 

Let’s see what the broker is projecting. 

Orthocell Ltd (ASX: OCC)

Orthocell is an Australian-based, commercial-stage regenerative medicine company developing and commercialising collagen-based medical devices and autologous cell therapies for the repair and regeneration of bone and soft tissue.

The company leverages their proprietary collagen processing and manufacturing platform to produce implantable biomaterials designed to support tissue regeneration and functional recovery.

As is commonplace with small-cap shares, it has experienced some volatility in 2026. 

However, Bell Potter has a speculative buy rating on this ASX small-cap, suggesting it could rise by 40% in the next year. 

In a note released yesterday, Bell Potter said June-quarter revenue increased 19% QoQ to a record $3.8m (+36% pcp), reflecting continued strength across the established market.

The broker said the US rollout of Remplir is making good progress. 

The product is now available to around half of the US population through expanded distributor coverage. 

Hospital access is also growing, with approvals in 151 hospitals and more applications still under review. 

In simple terms, more hospitals are buying the company’s nerve repair product Remplir, and more surgeons have started using it. 

However, sales growth has trailed hospital access growth, suggesting many surgeons are still trialling the product and are yet to commit.

Based on this guidance, Bell Potter has a 12-month price target of $1.19 on this ASX small-cap, indicating a 40% upside from current levels. 

Sky Metals Ltd (ASX: SKY)

Another ASX small-cap drawing a speculative buy rating is Sky Metals. 

Sky Metals engages in the acquisition, exploration, and development of mineral resources.

Its share price has rocketed 183% higher year to date, and Bell Potter believes the growth can continue. 

Bell Potter noted that Sky Metals has significantly increased the estimated size of its Tallebung project in New South Wales. 

The updated resource now contains much more tin and tungsten than previously estimated. The company has also identified its first silver resource. 

Much of the resource is now classified with higher confidence, making it more likely to be converted into mineable reserves.

Based on this guidance, the broker has placed a 12-month price target of $0.350 on this ASX small-cap, indicating 37% upside from current levels. 

The post 2 ASX small-caps with 40% upside appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Orthocell. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Many investors approaching retirement or living off superannuation will be looking for ASX shares that offer strong dividends. 

High dividend stocks can play an important role for investors living off their superannuation. They provide a regular income stream that can help fund retirement expenses without needing to sell down investments. 

This can offer greater stability and reduce the need to sell assets during periods of market weakness.

In Australia, dividend-paying shares can also be attractive due to the benefit of franking credits, which may reduce the tax payable on dividend income and improve after-tax returns, particularly for retirees in a low-tax environment.

The highest dividend yield isn’t always the best bet

High dividend yields can be attractive for retirees seeking income. However, an excessively high yield can sometimes be a warning sign rather than an opportunity. 

A dividend yield rises when a company’s share price falls. This may indicate investors are concerned about weaker earnings, financial stress or the sustainability of future dividend payments. 

Companies offering unusually high yields may be forced to reduce dividends if profits decline, potentially leading to both a loss of income and capital value. 

For retirees relying on their portfolio for regular cash flow, it is important to focus on the quality and consistency of dividends rather than simply chasing the highest yields. 

A sustainable dividend supported by strong cash flows and a healthy balance sheet is generally more valuable than a temporarily elevated yield that may not be maintained.

With that in mind, here are three consistent dividend stocks to consider. 

Wesfarmers Ltd (ASX: WES)

Wesfarmers has delivered a long history of shareholder returns through businesses such as Bunnings Group and other essential retail operations. 

Its diversified earnings base and strong cash generation have supported a relatively dependable dividend stream over time. 

This year, it has also enjoyed considerable capital gains, seeing its share price rise 11% year to date. 

It is currently expected to pay a forward dividend yield of around 2.6% in FY27.

Woolworths Group Ltd (ASX: WOW)

Another great option for retirees looking for consistent passive income is Woolworths Group. 

Woolworths Group is a popular income stock thanks to its defensive supermarket business. It generates reliable cash flow from everyday consumer spending. 

While its dividend yield is lower than many banks, it has a strong history of paying consistent, largely fully franked dividends, alongside the potential for long-term capital growth.

It is expected to offer a fully franked dividend yield of 2.8% in FY27. 

Westpac Banking Corp (ASX: WBC)

Westpac is a popular dividend stock due to its strong position as one of Australia’s major banks and its history of paying attractive dividends. 

Its large customer base, recurring lending income and solid profitability have supported consistent shareholder returns over time. 

While bank earnings can fluctuate with interest rates and the economy, Westpac remains a core income holding for many Australian investors seeking reliable dividends and the potential for long-term capital growth.

It currently offers a generous dividend yield above 4%.

The post 3 of the best ASX dividend stocks to supplement your superannuation appeared first on The Motley Fool Australia.

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• Up 12% in 2026! Are Wesfarmers shares now too expensive?

Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has recommended Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The ASX share market is a wonderful place to find investments that can offer huge passive income. There are a few businesses that offer a dividend yield of more than 10%, which I think can be very compelling.

But there are only a few businesses I’d consider as contenders for buys, given that high dividend yields aren’t necessarily reliable for payouts – some may be in danger of giving investors a significant dividend reduction.

I think the below two ideas can provide investors with a very good dividend yield for the foreseeable future.

Hearts and Minds Investments Ltd (ASX: HM1)

This is a listed investment company (LIC) that has a number of fund managers and investment professionals who contribute investment picks for free. Some of the fund managers are core managers who provide continuing portfolio picks, while a minority of the portfolio is based on picks at an annual investment conference.

The portfolio is full of international shares, so Australian investors are getting diversification with this investment, while also getting an incredible dividend yield.

Hearts and Minds has indicated an intention to increase its half-yearly dividend by 0.5 cents per share. That means the business could pay an annual dividend per share of 20.5 cents in the next 12 months. At the time of writing, that translates into a grossed-up dividend yield of 9.8%, including franking credits.

Its portfolio has returned an average of 10.25% per annum since inception in November 2018 – that’s high enough to pay a good dividend.  

Centuria Office REIT (ASX: COF)

Another ASX share that could be undervalued is this real estate investment trust (REIT) which owns office buildings across a number of markets, giving it diversification.

The business is certainly facing headwinds like work from home and a slowing economy, but it’s priced too cheaply in my opinion considering how much rental income it’s generating.

The ASX share expects to generate funds from operations (FFO) – net rental profit of 11.1 cents per security in FY26 and pay a distribution per security of 10.1 cents. That means it’s trading at just 8x its FY26’s rental profit with a FY26 distribution yield of 11.5%.

The fund manager of Centuria Office REIT, Belinda Cheung, explained the positive long-term outlook for the ASX share after its FY26 third-quarter update:               

Looking ahead, we maintain an optimistic outlook for the Australia metropolitan office markets across the medium term. Diminishing forecast supply has been further impacted by rising rates and inflation and is expected to amplify the significant disconnect between replacement costs and current valuations. The widening gap of economic rents to prevailing market rents not only prohibits feasible office development but provides ample room for current market rents to continue to grow and underpin future valuations, reinforcing the relative value of existing high-quality, well-located office assets.

The post 2 ASX shares with dividend yields above 9.5% appeared first on The Motley Fool Australia.

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Motley Fool contributor Tristan Harrison has positions in Hearts And Minds Investments. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

With lots of ASX shares to choose from on the Australian market, it can be difficult to decide which ones to buy. The good news is that brokers across the country are doing a lot of the hard work for you. 

Three top ASX shares that leading brokers have named as buys this week are outlined below. Let’s see why they are bullish on them.

ARB Corporation Ltd (ASX: ARB)

According to a note out of Morgans, its analysts have upgraded this 4×4 accessories company’s shares to a buy rating with a $22.35 price target. Morgans made the move in response to positive new vehicle sales during the month of June. This could be good news for ARB because it has a history of outperforming the market with its aftermarket sales. And while it has trimmed its earnings estimates slightly for FY 2026, it has boosted its medium-term forecasts. This partly reflects easing supply constraints for Toyota vehicles. Combined with significant share price weakness this year, Morgans thinks now could be a good time to invest. The ARB share price last traded at $18.03.

Mesoblast Ltd (ASX: MSB)

A note out of Bell Potter reveals that its analysts have put a buy rating and $4.45 price target on this biotechnology company’s shares. This follows the release of a fourth-quarter update which revealed 20% quarter on quarter revenue growth. Bell Potter believes its full year performance represents an outstanding result considering its Ryoncil product was launched from a standing start in April 2025 and prior to broad reimbursement availability. The broker notes that commercial adoption has been exceptionally strong and has continued to grow as barriers to adoption have fallen away. Looking ahead, the broker expects Ryoncil’s strong growth to continue. Bell Potter is also optimistic on Mesoblast’s Rexlemestrocel-L product. The Mesoblast share price was fetching $2.35 at Monday’s close.

Sigma Healthcare Ltd (ASX: SIG)

Analysts at Macquarie have retained their outperform rating and $3.50 price target on this pharmacy chain operator’s shares. According to the note, the broker has been looking at the consumer sector and continues to rate Sigma Healthcare as a preferred pick. Macquarie is bullish on the company due to its attractive valuation and exposure to structural tailwinds that are supporting the pharmacy industry. The Sigma Healthcare share price last traded at $2.92. 

The post Leading brokers name 3 ASX shares to buy today appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended ARB Corporation and Macquarie Group. The Motley Fool Australia has recommended ARB Corporation and Macquarie Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

I think ASX exchange traded funds (ETFs) can be an easy way to invest in long-term growth themes.

But which funds could have strong long-term growth potential?

Three that could deliver on this are named below. Here’s what they offer investors:

Betashares Global Cybersecurity ETF (ASX: HACK)

The Betashares Global Cybersecurity ETF could be a strong option for investors looking beyond traditional technology exposure.

Cybersecurity is no longer just an afterthought for businesses. It has become a boardroom, customer trust, regulatory, and business continuity issue.

Companies now rely on cloud platforms, remote workers, digital payments, online customer data, artificial intelligence tools, and connected devices. Each of these creates more points that need protecting.

This popular ASX ETF gives investors exposure to companies involved in areas such as identity security, endpoint protection, network defence, cloud security, and threat detection.

The growth case is straightforward. As more value moves online, more money is likely to be spent keeping it safe. This could bode well for holdings such as Palo Alto Networks (NASDAQ: PANW) and Fortinet (NASDAQ: FTNT).

Betashares Asia Technology Tigers ETF (ASX: ASIA)

The Betashares Asia Technology Tigers ETF offers a different type of technology exposure.

Many investors think of technology through a US lens, but Asia plays a huge role in the global digital economy.

The region is home to major companies involved in semiconductors, hardware, ecommerce, gaming, cloud services, digital platforms, and consumer technology. This includes WeChat owner Tencent Holdings and search and robotaxi giant Baidu (NASDAQ: BIDU).

That gives this ASX ETF exposure to both sides of the technology story. Asia helps build many of the components that power the digital world, while also serving enormous consumer markets that continue to adopt new online services.

It is worth noting that the fund is more concentrated than a broad global ETF, so investors should expect ups and downs. But given its strong long-term growth potential, the rewards could comfortably outweigh the risks.

Betashares S&P/ASX Australian Technology ETF (ASX: ATEC)

Finally, the Betashares S&P/ASX Australian Technology ETF brings the growth story closer to home.

This ASX ETF invests in Australian technology companies, giving investors exposure to a part of the local market that looks very different from banks and miners.

Its holdings can include businesses involved in software, digital marketplaces, payments, online services, and technology-enabled platforms. This includes Xero Ltd (ASX: XRO) and WiseTech Global Ltd (ASX: WTC).

This means that the fund gives investors a way to back local innovation without relying on one company to deliver.

It may not be as diversified as a broad market fund, and smaller technology shares can be sensitive to interest rates and investor sentiment. But if Australia continues producing globally competitive digital businesses, this fund could have plenty of long-term growth potential.

The post 3 ASX ETFs with strong long-term growth potential appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Betashares Capital – Asia Technology Tigers Etf, WiseTech Global, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Baidu, BetaShares Global Cybersecurity ETF, Fortinet, WiseTech Global, and Xero. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended Palo Alto Networks. The Motley Fool Australia has positions in and has recommended WiseTech Global and Xero. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

S&P/ASX 200 Index (ASX: XJO) shares edged 2.77% higher and generated total returns, including dividends, of 7% in FY26.   

Among the 11 market sectors, materials was the best performer of the year, rising 47% and producing a total return of 52%.

The worst-performing sector was healthcare, which fell 37% and produced a total negative return of 36%.

On The Bull this week, Andrew Wielandt from DP Wealth Advisory lets us in on some stock tips for the new financial year.

L1 Long Short Fund (ASX: LSF)

Wielandt has a buy rating on this ASX listed investment company (LIC), which he holds in his personal self-managed super fund.

He explains:

LSF provides exposure to long and short strategies on a global scale, meaning it takes either a positive or negative view on each position in the portfolio.

The strategy holds between 50 and 100 companies, with 30 per cent or less held offshore.

The fund has delivered returns of 20.2 per cent per annum since its inception in 2014.

LSF has risen from $2.97 on July 10, 2025 to trade at $4.66 on July 9, 2026.

The fund has a strong track record of delivering results and I believe the outlook is bright.

Wesfarmers Ltd (ASX: WES) 

The Wesfarmers share price rose 7% to close out FY26 at $90.40 per share.

Wielandt has a hold rating on the market’s largest ASX 200 consumer discretionary share.

He said:

WES is one of Australia’s largest diversified industrial companies, spanning retail, chemicals, fertilisers, industrials and health.

The retail division, including hardware giant Bunnings, Kmart Group and Officeworks, continues to perform well despite a slowing domestic economy.

Investment in the Priceline pharmacy chain provides upside potential.

WES generates a strong return on shareholders funds, but the stock is trading near a 12-month broker consensus target price, so we retain a hold recommendation.

REA Group Ltd (ASX: REA)

The REA share price tumbled 42% to finish FY26 at $139.19.

Wielandt has a sell rating on this ASX 200 communications share. 

He explained: 

REA is the dominant online property platform in Australia. But competitor Domain Holdings Australia, acquired by US listed company CoStar Group, is expected to provide fierce competition.

Federal Budget changes to capital gains tax and negative gearing leaves property far less appealing to investors.

The Australian property market is slowing, which could impact REA listing volumes moving forward.

Auction clearance rates have been falling in Sydney and Melbourne. Other stocks appeal more at this stage of the cycle.

The post Buy, hold, sell: L1 Long Short Fund, REA, Wesfarmers shares appeared first on The Motley Fool Australia.

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Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended CoStar Group and Wesfarmers. The Motley Fool Australia has recommended Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

On Monday, the S&P/ASX 200 Index (ASX: XJO) fought hard to finish in positive territory. The benchmark index edged higher to 8,808.5 points.

Will the market be able to build on this on Tuesday? Here are five things to watch:

ASX 200 to fall

The Australian share market looks set for a subdued session on Tuesday following a poor night on Wall Street. According to the latest SPI futures, the ASX 200 is expected to open the day 8 points or 0.1% lower. In the United States, the Dow Jones dropped 0.25%, the S&P 500 fell 0.8%, and the Nasdaq tumbled 1.55%.

Magellan shares upgraded

Magellan Financial Group Ltd (ASX: MFG) shares have been upgraded by analysts at Morgans. According to the note, the broker has upgraded the fund manager’s shares to an accumulate rating with an $11.26 price target. It said: “With the recent pullback in the share price, we now have more upside (~13%) to our price target and move to an ACCUMULATE recommendation (from Hold).” 

Oil prices jump

ASX 200 energy shares including Beach Energy Ltd (ASX: BPT) and Santos Ltd (ASX: STO) could have a strong session after oil prices jumped overnight. According to Bloomberg, the WTI crude oil price is up 9.2% to US$78.00 a barrel and the Brent crude oil price is up 9.5% to US$83.25 a barrel. Traders were bidding oil higher after US President Donald Trump reinstated a blockade on Iran.

Gold price sinks

It is likely to be a tough session for ASX 200 gold shares Newmont Corporation (ASX: NEM) and Northern Star Resources Ltd (ASX: NST) after the gold price sank overnight. According to CNBC, the gold futures price is down 2.55% to US$4,008.7 an ounce. Surging oil prices have increased interest rate hike expectations.

Buy Forrestania shares

The team at Bell Potter is bullish on Forrestania Resources Ltd (ASX: FRS) shares. This morning, the broker has retained its speculative buy rating with an improved price target of $1.25. Bell Potter was pleased with its acquisition of the Edna May Gold Hub for $300 million. It said: “This is a transformational transaction for FRS. The acquisition of a second permitted processing hub at Edna May, combined with the 3.2Mtpa Lake Johnston plant, establishes FRS as a dual-hub operator with targeted combined milling capacity of 6.1Mtpa by H1 CY27.”

The post 5 things to watch on the ASX 200 on Tuesday appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

There are plenty of options in the gold sector for investors to choose from. 

But one ASX gold stock that could have huge upside potential according to Bell Potter is named below.

ASX gold stock tipped to triple

The gold stock that Bell Potter is positive on is Forrestania Resources Ltd (ASX: FRS).

Bell Potter notes that the company has just signed a transformational deal with Ramelius Resources Ltd (ASX: RMS) for the Edna May Gold Hub. It commented:

FRS has entered into a binding agreement to acquire 100% of the Edna May Gold Hub from Ramelius Resources Limited (ASX: RMS, not rated) for total consideration of A$300m, comprising A$210m in cash and A$90m in FRS scrip (225m shares at A$0.40/sh) (Transaction). The Transaction is accompanied by a A$310m two-tranche equity raising at A$0.40/sh. 

Edna May comprises a 2.9Mtpa conventional CIL processing plant (C&M since April 2025), 945koz Au Mineral Resource Estimate (MRE), ~1,000km² of tenements including the Tampia and Symes satellite deposits, a 185-room accommodation village, airstrip, tailings storage facility and grid power connection. The Transaction is conditional on FRS shareholder approval, regulatory approvals (potentially ACCC), assignment of third-party agreements including the Evolution Mining SPA, and completion of the equity raising. Completion is targeted for September 2026.

‘Transformational transaction’

The broker believes this positions the gold stock to grow its production to 200,000 ounces per annum within 18 months. It explains:

This is a transformational transaction for FRS. The acquisition of a second permitted processing hub at Edna May, combined with the 3.2Mtpa Lake Johnston plant, establishes FRS as a dual-hub operator with targeted combined milling capacity of 6.1Mtpa by H1 CY27. On a pro-forma basis, FRS will have a MRE base of approximately 2.7Moz (incl. Dulcie, ZNC), and a contiguous tenure position spanning the Southern Cross, Forrestania, Westonia and Eastern Goldfields regions. 

The enlarged entity has a credible pathway to steady-state production of >200kozpa across both hubs within 12-18 months, assuming successful commissioning and ramp-up at both plants. FRS will hold pro-forma cash of A$132m and a proposed A$100m debt facility to sufficiently fund the ramp-up period across both hubs.

Big potential returns

According to the note, Bell Potter has retained its speculative buy rating with an improved price target of $1.25. 

Based on its current share price of 38 cents, this implies potential upside of approximately 230%.

Commenting on its investment thesis, Bell Potter said:

The Transaction consideration implies an EV/Resource multiple of approximately A$317/oz based on the 945koz Edna May MRE (or A$100/t installed milling capacity). Adjusting for the ~A$300m replacement value of the existing plant and infrastructure (per FRS), the implied acquisition cost of the resource ounces is effectively negligible on a look-through basis, in our view. Incorporating the Edna May transaction, dualhub production profile, and revised cost and CAPEX assumptions, we raise our Valuation to $1.25/sh and maintain our Speculative Buy recommendation.

The post This ASX gold stock could rocket 200%+ after ‘transformational’ deal appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Tuesday
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Warren Buffett has been one of the world’s greatest investors over the last several decades, helping Berkshire Hathaway (NYSE: BRK.B) become of the largest businesses in the world. Would such a great investor be interested in CSL Ltd (ASX: CSL) shares today?

Berkshire Hathaway has invested in a variety of industries over the years, including railroads, banks, Apple (NASDAQ: AAPL), insurance, oil and gas, soft drink, and so on. There’s nothing to say that Berkshire Hathaway wouldn’t be open to buying shares in a biotech company.

Let’s look at what Warren Buffett might think of CSL shares.

Is CSL a wonderful company?

There have been few businesses on the ASX that have expanded as much internationally as CSL over the last 20 years. It has been a great Australian success story.

However, the CSL share price has suffered a big decline in the past year, falling by around 50%. The market doesn’t seem to think as much of the business as before.

Are the current difficult conditions CSL is facing temporary or is this now a permanent, lower growth environment for the company? You’d need a crystal ball to truly know the answer to that question.

But, when it comes to market confidence, Warren Buffett has said some potentially very useful advice in the past. For example, he has said generally about markets:

Be fearful when others are greedy, and greedy when others are fearful.

By that logic, investors may have been too fearful about the CSL share price earlier this year. But the CSL share price has risen by around 33% since the 2026 low in June – it’s not as cheap as it was, even though it has fallen heavily over the longer term.

Warren Buffett has also suggested that it’s better to buy a wonderful company at a fair price than a fair company at a wonderful price.

Before 2025, I think most investors would have been happy to describe CSL as a wonderful company with its ability to grow its core business, create new products with research and development (R&D), and deliver rising profit.

Is CSL still a wonderful company? The market doesn’t seem convinced.

Warren Buffett’s Circle of competence

For me, what could be the deciding factor in whether Warren Buffett would buy CSL shares is what he likes to call a circle of competence.

In other words, he only invests in businesses that he understands. That’s why he famously avoided various technology businesses over the years. It’s important to understand the potential gains, the competitive pressures and risks.

I think that same investment thought process would mean Buffett would be hesitant to invest in CSL – biotechnology is a difficult industry to understand, and it may be challenging to get to grips with how the research and development (R&D) pipeline could play out and what the financial rewards could be. Therefore, there are other ASX shares that I think Warren Buffett would be more interested in.

The post Would Warren Buffett buy CSL shares? appeared first on The Motley Fool Australia.

More reading

• CSL shares are up 35% since early June. Is the recovery here to stay?
• Where could CSL shares go next? Here’s what brokers are predicting
• How to go from zero to $50,000 with ASX shares
• 3 ASX blue-chip shares that could be strong long-term value plays
• Up 36%: Can CSL shares keep rebounding?

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Apple, Berkshire Hathaway, and CSL. The Motley Fool Australia has recommended Apple, Berkshire Hathaway, and CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.